₹407.6
-0.24% today
· 30d +2.03%
as of 2026-09-04
Price · Daily Candles
“BEL's valuations stretch as Q4 profit growth slows, FIIs increase stake.”
Bharat Electronics Ltd. (BEL) delivered Q4 FY26 revenue growth of 11.75% YoY to ₹10,224 Cr, but net profit growth cooled to 4.67% YoY. While annual revenue growth remains strong at 16.16% and net profit at 13.89%, the stock trades at a TTM PE of 50.55, higher than its average. Machine learning models indicate strong sales and EBIT growth over various horizons, with sales rankings above 0.79.
BULL CASE
+Annual revenue surged by 16.16% YoY to ₹27,610 Cr, alongside a 13.89% YoY increase in net profit to ₹6,062 Cr for FY26.
+The company's ROCE stands strong at 37.0%, reflecting efficient capital deployment.
+FIIs demonstrably increased their stake by 0.99% QoQ, holding 19.5% as of March 2026.
+ML predictions underscore strong sales growth potential, with sales_1y_recent_2y ranking at 0.831 and sales_1y_rolling_4y at 0.871.
+The stock is identified as undervalued with a 176.5% margin of safety, alongside a 0.18% FCF yield.
BEAR CASE
−Q4 FY26 net profit growth slowed significantly to 4.67% YoY, despite an 11.75% increase in revenue.
−The TTM PE remains elevated at 50.55, compared to some peers like HAL at 35.4 and MAZDOCK at 38.41, indicating stretched valuations.
−DIIs reduced their stake by 0.49% QoQ, bringing their holding down to 19.99% as of March 2026.
−Technical indicators show weakness, with MACD in a 'weak bearish' state and RSI(14) neutral at 43.54.
−The stock is trading 11.16% below its 52-week high of ₹473.45.
⟳ What Changed
₹ Latest Earnings · Q ending 2026-06-30
REVENUE
₹5547 Cr
+24.94% YoY
NET PROFIT
₹1055 Cr
+8.82% YoY
OPM
27.25%
-3.2pp YoY
EPS
₹1.44
PE 50.55
Intrinsic value · DCF: N/A — ML model predicts severe Δ FCF compression (h1=-18.7%, h2=-12.8%, h3=-4.5% of mktcap), driving projected FCF negative by year 3 despite healthy current FCF. Treating as forecast outlier rather than reporting a misleading ₹0 valuation. Use the Strategy Fit and ML sections instead.
◇ Sector Position
BEL's TTM PE of 50.55 and ROCE of 37.0% reflect a higher valuation than peers like HAL (PE 35.4, ROCE 19.67%) but strong profitability metrics overall.
PEERPEROCE %
BEL50.5537.0
+ 2 more peers — sign in to view
ML Forward Growth Predictions 🔒
67
SCORE / 100
Overall
6-axis composite of the sections below.
Performance
STRONG
75
Valuation
STRETCHED
20
Growth
STRONG
76
Profitability
HIGH
95
Technicals
NEUTRAL
55
Risk
LOW
80
Key Stats
TTM PE
50.55
P/B
12.8
52W HIGH
₹473.45
OFF HIGH
-13.91%
DIV YIELD
1.03%
MKT CAP
₹297592 Cr
◉ Active Signals
MACDNeutral-0.1967
RSI(14)Neutral50.14
Street Consensus
28 analysts₹491.07
mean target
Low ₹346.0Now ₹407.6High ₹585.0
⧉ Strategy Fit 🔒